This Odd Lots podcast episode features an interview with Marko Kolanovic, JPMorgan's former chief global market strategist, discussing current market conditions. The conversation begins with a discussion of the recent tech sell-off, specifically focusing on the impact of the DeepSeek release from China and its limited contagion effect. Kolanovic then delves into market concentration, highlighting the unusually high concentration in technology stocks and the potential for a rebalance. He emphasizes the role of technical factors and momentum in driving market trends, illustrating this with examples of moving averages and their influence on investor behavior. Finally, the discussion touches upon the hype surrounding AI and its impact on market valuations, with Kolanovic expressing some cynicism about the current level of optimism. The interview concludes with Kolanovic's outlook for the market, suggesting a potential downturn to the 5000 range for the S&P 500.
